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7 Myths of Financing Your Franchise Business: Unveiling the Truth

Franchise Journal

Let's debunk seven common myths surrounding the process of getting financing for a franchise business. Myth: Franchise Financing is Limited to Banks - Contrary to popular belief, franchise financing is not confined to traditional banks.

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The Complete Guide to Franchises

AllBusiness.com

Note: The Federal Trade Commission (FTC), the nation's consumer protection agency, regulates franchising through the FTC Franchise Rule , which is designed to help you make an informed decision about investing in a franchise opportunity. The SBA Franchise Directory lists eligible brands.

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Understanding the Financial Side of Franchising: What You Need to Know

The Franchise Consulting Company

Whether you’re considering buying a franchise for the first time or looking to expand your existing franchise portfolio, understanding the costs, fees, and financial responsibilities involved is essential for making an informed decision. Common Financing Options for Franchisees: SBA Loans: The U.S.

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Loans to buy a retiring business

Swoop Funding

Several financing options are available to help you buy a retiring business. SBA 7(a) loans – Backed by the Small Business Administration, SBA Loans are among the most popular options for business acquisitions. If you’re applying for an SBA loan, be prepared for more documentation.

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Business loan for hiring

Swoop Funding

Instead of taking out a fixed loan amount, businesses can withdraw funds as needed to cover payroll and recruitment costs. Government-backed SBA loans also provide affordable financing for small businesses looking to expand their workforce. Find out more about Swoop’s editorial principles by reading our editorial policy.

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Business loan for app development

Swoop Funding

For early-stage businesses or startups, SBA loans can offer more favorable terms, though they may take longer to secure and come with more documentation requirements. Revenue-based financing may also be an option if you already have some sales and expect a boost once the app launches.

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Top Laundromat Franchise Opportunities for Entrepreneurs in 2025: Keep More of Your Money with This Franchise Tax Hack

The Franchise Insiders

Research and Due Diligence Conduct thorough research and due diligence on the franchise, including: Reviewing the Franchise Disclosure Document (FDD) : The FDD provides detailed information about the franchise, including its business model, financial performance, and contract terms.